Here's a derivative strategy from HDFC Securities for Tech Mahindra

Views on derivative call by Nandish Shah, Senior Technical & Derivative Analyst, HDFC securities.

Buy Tech Mahindra September Future @ Rs 691 | Stop loss of Rs 680 | Target Rs 710

Rationale:

-- We have seen long build up in the Tech Mahindra Sept futures’, where we have seen sharp rise in Open Interest with price rising by 0.2 per cent.

-- Stock price has already broken out on the daily chart by closing above the resistance level of 680 level last week.

-- Oscillators and Momentum Indicators like RSI and MACD showing strength in the stock on the daily and weekly charts.

-- Stock price is trading above its 5 and 20 day